The fluoroelastomer market is projected to reach USD 1.64 Billion by 2022, at a CAGR of 6.2%, growing from USD 1.21 Billion in 2017. Fluoroelastomers are used in the manufacture of O-rings, seals & gaskets, and hoses. These sealing products are used across various end-use industries such as automotive, aerospace, oil & gas, energy & power, semiconductors, chemical processing, pharmaceutical, food processing, and others. The growth of these end-use industries is expected to drive the growth of the fluoroelastomers market during the forecast period.
Based on type, the fluoroelastomer market has been segmented into fluorocarbon, fluorosilicone, and perfluoroelastomers. Perfluoroelastomers is estimated to be the fastest-growing type of the fluoroelastomers market during the forecast period. It is used for the manufacture of various applications such as O-rings, seals & gaskets, hoses, and complex molding parts. Perfluoroelastomers surpass fluorocarbon elastomers in almost all characteristics. Pefluoroelastomers are used where the properties are not sufficient to meet the needs of the end-use industry.

Among end-use industries of fluoroelastomers, automotive is estimated to remain the largest segment during the forecast period. Fluoroelastomers are widely used in fuel systems of conventional vehicles to reduce emissions, and these are also preferred for insulation of battery voltage cables of electric vehicles. The increasing demand for vehicles from emerging countries such as China, India, and Brazil is projected to fuel the demand for fluoroelastomers during the forecast period. Increasing popularity of electric cars, and rising disposable incomes of the middle class populations in many countries are expected to boost the demand for vehicles in the respective regions.

Rising demand for fluoroelastomers from the automotive, aerospace, and semiconductor industries is driving the fluoroelastomers market, globally. Asia Pacific is projected to be the fastest-growing market for fluoroelastomers during the forecast period, followed by North America and Europe. The growth of the market can be attributed to the presence of the regional manufacturers of fluoroelastomers, such as Asahi Glass Co. (Japan), Daikin Industries (Japan), Dongyue Group Co. (China), Gujarat Fluorochemicals Limited (India), Shanghai 3F New Materials Co. (China), Shin-Etsu Chemical Co. (Japan), and Zhonghao Chenguang Research Institute of Chemical Industry (China) in the region. The fluoroelastomers market in India is projected to grow at the highest CAGR during the forecast period.

Companies operating in the fluoroelastomer market are investing to increase their product portfolios along with improvements in distribution networks and thus enhancing their positions in the market. They have adopted strategies such as mergers & acquisitions, new product developments, and expansions to cater to the increasing demand for fluoroelastomers from different regions. For instance, in 2015, the Chemours Company introduced a new grade of Viton, VTR-9307. The product provides high temperature and chemical resistance along with high acid resistance. This has increased its usability in automotive applications such as EGR sensors. The company also entered into a joint venture with Zhonghao Chenguang Research Co. (China), in February 2015, which markets Viton in the Asia Pacific.